Best buy failure in international market
Best Buy
Best Buy failing in an International market.
In 2006 the company acquired a majority interest stake in the Chinese retail chain Jiangsu Five Star Appliance Co., Ltd., who were China’s fourth largest appliance chain. In January of 2007 the first Best Buy store opened in China and was referred to as the largest Best Buy in existence. In February of 2011 they closed all of their own brand stores in China. In 2010 Best Buy entered into a joint venture with Carphone Warehouse. They opened own branded stores in the United Kingdom and other European countries. Initially two stores were opened near Lakeside Shopping Centre and a retail park near Southampton. Four additional stores opened by the end of 2010 with another five planned for the following year. However, with all the financial problems the company struggled with they had to close all of their European branches by the end of 2011. We will discuss what difficulties were faced by Best Buy while trying to compete in the European and Chinese markets.
Background
Best Buy Co., Inc., incorporated on 20th October 1996, is a multinational retailer of consumer electronics, computing and mobile phone products, entertainment products, appliances and related services. The company operates retail stores and call centers, they also conduct online retail operations under many different brand names such as Best Buy(Best buy.com, BestBuy.ca), Best Buy Mobile(BestBuyMobile.com, Five Star, Future Shop(FutureShop.ca), Geek Squad, Magnolia Audio Video, Pacific Sales and The Phone House(PhoneHouse.com). The Domestic segment consists of the operations in all states, districts and territories of the United States, operating under brand names, including, but not limited to, Best Buy, Best Buy Mobile, Geek Squad, Magnolia Audio Video and Pacific Sales. The International segment consists of all Canada operation, operating under brand names Best Buy, Best Buy Mobile, Cell Shop, Connect Pro, Future Shop and Geek Squad; all
Best Buy failing in an International market.
In 2006 the company acquired a majority interest stake in the Chinese retail chain Jiangsu Five Star Appliance Co., Ltd., who were China’s fourth largest appliance chain. In January of 2007 the first Best Buy store opened in China and was referred to as the largest Best Buy in existence. In February of 2011 they closed all of their own brand stores in China. In 2010 Best Buy entered into a joint venture with Carphone Warehouse. They opened own branded stores in the United Kingdom and other European countries. Initially two stores were opened near Lakeside Shopping Centre and a retail park near Southampton. Four additional stores opened by the end of 2010 with another five planned for the following year. However, with all the financial problems the company struggled with they had to close all of their European branches by the end of 2011. We will discuss what difficulties were faced by Best Buy while trying to compete in the European and Chinese markets.
Background
Best Buy Co., Inc., incorporated on 20th October 1996, is a multinational retailer of consumer electronics, computing and mobile phone products, entertainment products, appliances and related services. The company operates retail stores and call centers, they also conduct online retail operations under many different brand names such as Best Buy(Best buy.com, BestBuy.ca), Best Buy Mobile(BestBuyMobile.com, Five Star, Future Shop(FutureShop.ca), Geek Squad, Magnolia Audio Video, Pacific Sales and The Phone House(PhoneHouse.com). The Domestic segment consists of the operations in all states, districts and territories of the United States, operating under brand names, including, but not limited to, Best Buy, Best Buy Mobile, Geek Squad, Magnolia Audio Video and Pacific Sales. The International segment consists of all Canada operation, operating under brand names Best Buy, Best Buy Mobile, Cell Shop, Connect Pro, Future Shop and Geek Squad; all
References: http://www.bby.com/ http://voices.yahoo.com/expanding-foreign-markets-international-operations-2131554.html http://www.forbes.com/sites/lauraheller/2013/04/30/best-buy-quits-carphone-warehouse-bids- europe-adieu/ http://www.wikinvest.com/stock/Best_Buy_(BBY)